Shares of the GAME retail chain have been taken off the London Stock Exchange. The GAME Group released a statement saying that there was “no equity value left in the group”, after its shares dropped to a low of 2.39p on Tuesday 20 March. A year ago, its share value was 62p.
The removal of shares from the LSE is a clear sign that the GAME chain is now circling the drain, following weeks of highly publicised stories about the company’s poor financial state. Most notably, GAME was unable to secure the credit to supply their stores with highly-anticipated games including several PS Vita launch titles and Mass Effect 3.
The next level of this game looks a bit cold and dark…
Several of the chain’s stores have already closed, and MCV UK reports that a consolidation of the company’s GAME and Gamestation brands is expected, to form a much more streamlined operation. The group has 600 stores in the UK, and if MCV’s sources are correct, “A GAME with 300 stores is what we’ll all get, which is basically where they should have been three years ago during the peak. There’s no need for two, or even three, stores in the same town or city.”
UK high street games retail has been in trouble for some time now, with key name HMV also having been close to collapse in recent months. HMV plans to close 40 shops in 2012. At this rate, we’ll all have to buy the next Call of Duty from Morrisons.